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When Microsoft released Office XP, users were suddenly faced with having to "activate" the product in addition to entering a valid product key. That proprietary activation scheme helped Microsoft cut down on piracy, but it raised privacy concerns among users. Much of the fervor eventually died down, however, until late 2002 when Intuit shipped its new version of TurboTax, which also required activation. Outraged usersincluding many who voiced their anger on our sister site, ExtremeTechcomplained that this prevented them from using the product as they had in the past, that it interfered with their PCs, and that it was an imposition in time and resources.

Adding fuel to the fire, Intuit's tech support was hard to find and less than stellar in its response. Intuit will no longer use activation, but with household names such as Adobe, Macromedia, and Symantec all incorporating some kind of digital-rights scheme into many of their latest releases, activation is clearly here to stay. How will this affect your computing life? We give you the answers below.

Q: Why are vendors turning to activation?

A:Software piracy became a lot easier once ordinary users could easily burn CDs, and file-sharing services are also contributing to the problem. This has made companies more willing to face the potential rancor of users. Software vendors hope product activation will reduce mass copying by professionals, as well as casual copyingone user passing on a CD to a friend, which is actually considered the bigger problem by many in the industry.

The Business Software Alliance (BSA), a digital-rights enforcement organization, has published a list of "best practices" for companies using product activation. Since a vendor's implementation of activation can make or break a good user experience, BSA member companies try to follow these best practices, which include anonymity, full disclosure of information, ease of use, and quality tech support.

Q: How does activation work?

A: Today's activation schemes work by creating a unique value or ID for each user, based on the user's hardware configuration and the product serial number, though this is implemented differently by different vendors. Microsoft, for example, sends a single combined value, while Macrovision, maker of the popular DRM product SafeCast, sends two separate values: the serial number and a number representing the hardware. The user information is transmitted via the Internet (or telephone) to a vendor's activation server, which receives the value, records it in a database, and sends back a unique activation code that unlocks the user's product.

Depending on the vendor's implementation, unique hard drive or Registry identifiers are stored on users' machines. There is no way around this, since the key to the process relies on checking user licenses locally each time the application runs. Macrovision's SafeCast stores the values in several areas to make cloning more difficult and to protect legitimate users from accidentally wiping out their license files. One area is an unused portion of a PC's boot track 0. While this sounds clandestine, an ID stored in that location is less likely to be deleted inadvertently than a file or Registry entry would be.

Q: If Macrovision writes to track 0, won't that mess up security software, partition tools, and other disk utilities?

A: Yes and no. A simple high-level format (Format C: /s) will not affect IDs stored in track 0, but a low-level format (or repartitioning) will. Utilities such as Norton Ghost can be used to back up a disk or partition to an imageand restore the data with activation intact. But restoring an image that was made before a product was activated will require reactivation. And while SafeCast will not step on another SafeCast installation, products using other activation schemes could be affected if they use the same location. In addition, security products that watch for changes to hard drives could be affected as well.

Q: I've paid those software vendors their money. I own the software. They can't make me tell them who I am. Or can they?

A: As implemented by most vendors, activation is anonymous. Unlike product registration, which typically requires your name, address, and e-mail, activation uses only a product ID code and a unique value derived from your hardware configuration. The hardware value can't be reverse-engineered to identify your machine. But you don't actually own the software. Unlike hardware that is sold outright, software is a licensed product. You buy the right to use a product based on restrictions, such as installing on one machine.

Q: Let's get real: They know who I am.

A: Although activation is designed to be anonymous, vendors can capture identifiable information such as an IP address or caller ID (if you activate by phone). BSA members agree, however, that end user privacy should be respected. Check the vendor's privacy policy to be sure.

Q: I heard activation spies on you, reporting back to the vendor often. Is this true?

A: An application contacts a vendor only during the activation process. Once activated, a product stores its activation codes locally and never needs to call out again. It does not check with the server unless you do something to invalidate the activation.

Q: If activation is bound to my machine, what happens if I buy a new PC, or upgrade components? Do I have to pay again?

A: Not typically. Most vendors allow leeway in how their programs check hardware, so you can upgrade components without reactivating. If you make substantial system changes, you'll have to reactivate. Norton AntiVirus 2004 allows multiple activations, so you can just reactivate the same program as you upgrade. (
See Figure 1
.) Some vendors, like Macromedia, have chosen to implement activation so it may be uninstalled from one machine and installed on another. Should you run out of activations, you'll need to contact the company and reactivate. (
See Figure 2
.)

Q: I heard that activation leaves a program running even after I exit.

A: It depends on the how the application was installed. To let users with guest permissions run a protected program on a Windows 2000 or XP machine, the activation portion needs to be installed as a service. This leaves a small system process running so any user can log on and start the app. Without it, only users with administration privileges can use the program.

Q: Will activation affect licensing?

A: Now that licenses can be enforced, companies can afford to relax their policies. Both Adobe's and Macromedia's EULAs (end user license agreements) allow licensed users to install their products on two machines.

Q: With companies offering multiple activations, do I have multiple licenses?

A: No. The number of PCs on which you can run the software is defined by the license, not by the activation restrictions.

Q: When I uninstall an activated program, is the activation portion also removed? Does the program contact the activation server to let it know I'm not using the app anymore?

A: That's up to the vendor. Typically a program does not contact the activation server except when transferring a license. But a vendor can choose to have the program contact the server on uninstall. When a vendor implements license transfer, the product contacts the server, and the server tags the activation as not in use. It reactivates with the new machine's activation.

Q: What happens if I have several Macrovision DRMprotected applications and I uninstall one? Will the others be deactivated as well?

A: No, each activation is separate and doesn't affect other products.

Q: Vendors say activation can benefit users. What are they talking about?

A: While activation benefits vendors by reducing copying, it lets them publish fully working versions in try and buy or try and die scenarios. This lets users try out the real thing to see whether it's worth paying for. In the past, you could download and install 30-day trial versions of products, but you had to get a separate version if you were buying. With activation, you simply pay for the license and activate the copy you have. Once users accept that software must be licensed, they will probably find that activation is a pretty painless process.

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